What is 1.888 as a mixed number
2 answers:
You might be interested in
Answer:
<h2>$1,083</h2>Step-by-step explanation:
The compound interest formula is expressed as
A is the total amount after n years
P is the amount deposited (principal)
r is the rate (in %)
t is the time (in years)
n is the time of compounding
Given P = $5000, r = 4% = 0.04, t = 5 years, n = 1 year (per annum compound interest)
On substituting into the formula we have;
Interest earned = Amount - Principal
Interest earned = $6,083.26 - $5,000
Interest earned = $1,083.26 ≈ $1,083
Hence, the total interest earned in 5 years is $1,083 to the nearest dollars.